Paris – 11 October 2022 – Euronext announces the extension of the maturities available on the Total Return Future on the CAC 40® Index, commonly known as the “CAC 40® TRF”.
The Total Return Futures contract on the CAC 40®, launched in 2018, was the very first Total Return Future available on a national benchmark. Thanks to its strong benefits, the contract was immediately positively received by market participants.
By making additional maturities up to ten years available on this contract, Euronext further meets the needs of its long-term investors for more capital efficiency.
The CAC 40® TRF offers:
- A cost-efficient solution replicating the economics of a Total Return Swap;
- Access to the implied equity repo rate on the constituents of the CAC 40® Index in a transparent and secure trading environment;
- Strong margin offsets with CAC 40®Index Future exposure;
- On-screen price transparency and liquidity provided by BNP Paribas as market maker quoting a spread as an annualised rate in basis points (+/-).
Since the launch of the CAC 40® TRF, more than 700,000 contracts have been traded, representing a total nominal value traded of €54 billion.
Euronext strongly believes that the new maturities that are now being made available will contribute to build the further success of this contract.
BNP Paribas - Prime Services - Delta One Team : "BNP Paribas is proud to support the development of Total Return Futures across Europe as market maker. This new development on the Euronext CAC 40 TRF further answers the needs of investors for improved capital management and allowing trading strategies along the repo curve.”
For more information, visit the Euronext website: https://www.euronext.com/for-investors/financial-derivatives/total-return-futures.